The challenges facing CPAs working in practice include the increasingly stringent and complicated regulations, stakeholders demanding more information, and the progressive digitisation of audit work.
Eric Tong, partner, audit and assurance at Deloitte China, says that nowadays more emphasis is being put on public interest and many stakeholders want more detailed financial information. “Given the advent of innovative technologies, the business world has become increasingly complex, and more regulations for auditing have been introduced. To cope with the changes, auditing standards have been enhanced continuously,” says Tong, who is also vice-president of the HKICPA. “Financial statements cover more diverse aspects of a business. Part of our job now is to provide the key audit matters arising from our audits.”
“Auditing firms are expected to do auditing more effectively and efficiently. First and foremost, CPAs need to gain an in-depth understanding of the business sector. Newcomers not only receive on-the-job training and get immersive work experience, they also need to enrich their knowledge of the various sectors we serve,” Tong continues. “Meanwhile, they need to develop skills in applying innovative technologies to their work.”
He believes auditing is a massive training ground for newcomers. “It gives them the rare chance to interact with the senior management of their client companies. Through this interaction, they will develop an in-depth understanding of the business operations and get insights directly from top management,” he says.
Because of the ever-evolving business environment, the accounting profession welcomes not only graduates of accountancy but also of other disciplines. “Our profession is no longer just about number-crunching. We need more people with analytical skills and business acumen,” Tong says. “We want graduates from other disciplines, provided they are passionate about the profession. The new QP will add greater flexibility for the next generation of CPAs to enter the accountancy field.”
Hong Kong has around 1,800 certified public accountancy firms. While many graduates are keen to get into the “Big Four” firms, Tong says companies of smaller size provide new recruits with distinct exposure. “The Big Four serve mainly large conglomerates and it is difficult for auditing trainees to go through these companies’ full business cycles in one or two years. Those working for small-to-medium-sized firms can be quickly exposed to the full business cycle of client companies.”
The accounting profession is challenging so most firms promote work-life balance among their workforce. “We organise staff club and team-building exercises. We encourage our team members to pursue their interests. When people have a passion for doing something, they will continue to do it despite their hectic schedules,” Tong says.
“I believe the profession is ideal for those who have a genuine passion for business,” he notes. “It offers great access to financial information about companies and CPAs gain a lot of insight into the business sector.”
